IDEAS home Printed from https://ideas.repec.org/a/eee/eecrev/v27y1985i3p375-390.html
   My bibliography  Save this article

Differential consumer demand systems

Author

Listed:
  • Keller, W.J.
  • Van Driel, J.

Abstract

It is shown in this paper that several well-known systems like the Rotterdam model and the Almost Ideal Demand System can be seen as different parametrizations of the budget share differential equation. Using a third parametrization a new system, called the CBS system, is developed and discussed. Special attention is given to the relative price version of the system and in particular to the special case of preference independence. Some estimates for the Netherlands based on time series for 1953–1981, using various approaches, are presented.

Suggested Citation

  • Keller, W.J. & Van Driel, J., 1985. "Differential consumer demand systems," European Economic Review, Elsevier, vol. 27(3), pages 375-390.
    • Handle: RePEc:eee:eecrev:v:27:y:1985:i:3:p:375-390
    DOI: 10.1016/S0014-2921(85)80021-0
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0014292185800210
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/S0014-2921(85)80021-0?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Laitinen, Kenneth, 1978. "Why is demand homogeneity so often rejected?," Economics Letters, Elsevier, vol. 1(3), pages 187-191.
    2. BARTEN, Anton P., 1969. "Maximum likelihood estimation of a complete system of demand equations," LIDAM Reprints CORE 34, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    3. Barten, A. P., 1969. "Maximum likelihood estimation of a complete system of demand equations," European Economic Review, Elsevier, vol. 1(1), pages 7-73.
    4. de Boer, P. M. C. & Harkema, R., 1983. "Undersized Samples And Maximum Likelihood Estimation Of Sum-Constrained Linear Models," Econometric Institute Archives 272283, Erasmus University Rotterdam.
    5. Byron, R. P., 1984. "On the flexibility of the Rotterdam model," European Economic Review, Elsevier, vol. 24(3), pages 273-283, April.
    6. Sato, Kazuo, 1972. "Additive Utility Functions with Double-Log Consumer Demand Functions," Journal of Political Economy, University of Chicago Press, vol. 80(1), pages 102-124, Jan.-Feb..
    7. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. van Heeswijk, B J & de Boer, P M C & Harkema, R, 1993. "A Dynamic Specification of an AIDS Import Allocation Model," Empirical Economics, Springer, vol. 18(1), pages 57-73.
    2. Kesavan, Thulasiram, 1988. "Monte Carlo experiments of market demand theory," ISU General Staff Papers 198801010800009854, Iowa State University, Department of Economics.
    3. Keuzenkamp, Hugo A. & Barten, Anton P., 1995. "Rejection without falsification on the history of testing the homogeneity condition in the theory of consumer demand," Journal of Econometrics, Elsevier, vol. 67(1), pages 103-127, May.
    4. Paul Cashin, 1991. "A Model Of The Disaggregated Demand For Meat In Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 35(3), pages 263-283, December.
    5. James L. Seale & Mary A. Marchant & Alberto Basso, 2003. "Imports versus Domestic Production: A Demand System Analysis of the U.S. Red Wine Market," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 25(1), pages 187-202.
    6. Ray, Ranjan, 1982. "The testing and estimation of complete demand systems on household budget surveys," European Economic Review, Elsevier, vol. 17(3), pages 349-369.
    7. de Boer, P. M. C. & Harkema, R., 1983. "Undersized Samples And Maximum Likelihood Estimation Of Sum-Constrained Linear Models," Econometric Institute Archives 272283, Erasmus University Rotterdam.
    8. W D A Bryant, 2009. "General Equilibrium:Theory and Evidence," World Scientific Books, World Scientific Publishing Co. Pte. Ltd., number 6875, December.
    9. Harkema, R., 1985. "Minimum Sample Size Requirements For Maximum Likelihood Estimation Of Some Demand Models," Econometric Institute Archives 272292, Erasmus University Rotterdam.
    10. de Boer, P. M. C. & Harkema, R., 1986. "An Algorithm For Maximum Likelihood Estimation Of A New Covariance Matrix Specification For Sum-Constrained Models," Econometric Institute Archives 272357, Erasmus University Rotterdam.
    11. Fabiosa, Jacinto Fama, 1993. "Essays in dynamic adjustment, structural change and data analysis: applications to the demand for meat in the US," ISU General Staff Papers 1993010108000011815, Iowa State University, Department of Economics.
    12. Paul Oslington, 2012. "General Equilibrium: Theory and Evidence," The Economic Record, The Economic Society of Australia, vol. 88(282), pages 446-448, September.
    13. Rodrigo García Arancibia & Edith Depetris Guiguet, 2020. "Brazilian Import Demand of Dairy Products with Emphasis in the Mercosul Context [Demanda brasileira de importações de laticínios com ênfase no contexo do Mercosul]," Nova Economia, Economics Department, Universidade Federal de Minas Gerais (Brazil), vol. 30(2), pages 551-577, May-Augus.
    14. Toshinobu Matsuda, 2005. "Differential Demand Systems: A Further Look at Barten's Synthesis," Southern Economic Journal, John Wiley & Sons, vol. 71(3), pages 607-619, January.
    15. Barnett, William A. & Serletis, Apostolos, 2008. "Consumer preferences and demand systems," Journal of Econometrics, Elsevier, vol. 147(2), pages 210-224, December.
    16. Paris, Quirino & Caracciolo, Francesco, 2012. "Quantity Versus Shares in Estimating Demand Systems," Working Papers 124575, University of California, Davis, Department of Agricultural and Resource Economics.
    17. Holt, Matthew T., 2002. "Inverse demand systems and choice of functional form," European Economic Review, Elsevier, vol. 46(1), pages 117-142, January.
    18. S. Selvanathan, 1987. "How Similar are OECD Consumers?," Economics Discussion / Working Papers 87-08, The University of Western Australia, Department of Economics.
    19. Apostolos Serletis & Libo Xu, 2020. "Demand systems with heteroscedastic disturbances," Empirical Economics, Springer, vol. 58(4), pages 1913-1921, April.
    20. Kenneth W. Clements & E. A. Selvanathan & Saroja Selvanathan, 1992. "Henri Theil’s Contributions to Demand Analysis," Palgrave Macmillan Books, in: Ronald Bewley & Tran Hoa (ed.), Contributions to Consumer Demand and Econometrics, chapter 5, pages 74-104, Palgrave Macmillan.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eecrev:v:27:y:1985:i:3:p:375-390. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eer .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.